The September Rally Continues! (SPY, QQQQ, GLD, USO, TLT, UUP)

This week's massive rally in stock prices continued on Friday after a better than expected Nonfarm payrolls number. Job losses were 54,000 compared to consensus estimates which called for a decrease in Nonfarm payrolls of 120,000. The private sector added 67,000 jobs which also exceeded estimates which predicted an increase of only 44,000. Although these numbers continue to suggest a lackluster job market, they helped to ease fears on the Street about a double dip recession. The upside surprise in the jobs numbers was good enough to propel the Dow Jones Industrial Average 128 points higher to 10,448. The widely watched blue-chip index traded in a range between 10,322 and 10,451. The SPDR S&P 500 ETF SPY added 1.30% to close at $110.89. Volume was on the light side going into the long weekend with around 212 million SPY shares trading hands compared to a 3-month daily average 229 million. The PowerShares QQQ Trust ETF QQQQ, which tracks the performance of the Nasdaq 100, jumped 1.66% to $46.01. Today's rally was enough to push the quad Q's back into positive territory for the year, although just barely. Gold shed some of its recent gains during Friday's trading session. COMEX gold futures fell 0.41% to $1,248.20. The SPDR Gold Trust ETF GLD lost 0.37% to close New York Stock Exchange trading at $121.84. NYMEX crude futures shed 0.91% to finish at $74.34. The United States Oil Fund ETF USO lost 0.90% to $33.09, but closed well off of its intra-day lows. Continue to monitor the crude market, which has been highly correlated to the S&P, for indications about economic sentiment. Treasury prices continued to slide in the face of the rally in equities. The iShares Barclays 20+ Year Treasury Bond ETF TLT lost 1.14% to $103.68. The yield on the 10-Year note jumped 7.75 basis points to just under 2.7%. If the stock rally is for real, look for Treasury yields to move higher as investors move out of U.S. debt and begin to take on more risk in stocks and commodities. The U.S. Dollar fell today, which contributed to the strength in equity markets. The PowerShares DB US Dollar Index Bullish ETF UUP, which tracks the performance of the dollar versus a basket of foreign currencies, fell 0.50% to $23.79. The closely watched EUR/USD pair is currently trading at $1.2896. Learn how to find the best stocks to trade each day in our 70 page E-Book and 90 minute online video for free.